Income Taxes |
9 Months Ended |
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Sep. 27, 2026 | |
| Income Tax Disclosure [Abstract] | |
| Income Taxes | 12. Income Taxes Income tax expense was $1.2 million for the third quarter of 2026 compared to $46.4 million for the third quarter of 2025. Income tax expense was $3.4 million for September year-to-date 2026 and $49.1 million for September year-to-date 2025. The decreases were primarily due to the $69.7 million valuation allowance charge recorded in the third quarter of 2025 against a portion of the Company’s work opportunity credit carryforwards in addition to the third quarter 2025 goodwill impairment charge, which did not recur in 2026. These decreases were partially offset by the tax effect of changes in pretax income largely attributable to the goodwill impairment in 2025 and by lower work opportunity tax credit benefit in 2026 compared to 2025. As of year-end 2025, the Company has recorded valuation allowances against its U.S. general business credit carryforwards, foreign tax credit carryforwards, certain loss carryforwards, and certain future deductible items. The Company will continue to evaluate the need for valuation allowances against deferred tax assets on a quarterly basis and may adjust the allowance as circumstances change. The work opportunity credit program is a temporary provision in the U.S. tax law and has expired for employees hired after 2025. While the work opportunity credit has routinely been extended, it is uncertain whether it will again be extended. In the event the program is not renewed, the Company will continue to receive credits for qualified employees hired prior to 2026.
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